Proposed Provision: E2.4. Eliminate the taxable maximum for years 2031 and later (phased in 2025-2031), and apply full 12.4 percent payroll tax rate to all earnings. Provide benefit credit for earnings above the current-law taxable maximum that are subject to the payroll tax, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from annual earnings from each year after 2024 that were in excess of that year's current-law taxable maximum; (2) a new bend point equal to $9,770 in 2025, indexed by wages after 2025; and (3) formula factors of 3 percent and 0.25 percent below and above the new bend point, respectively.
OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)
| Year |
Current Law |
Provision |
| 2024 | 188 | 188 |
| 2025 | 171 | 171 |
| 2026 | 152 | 154 |
| 2027 | 134 | 141 |
| 2028 | 117 | 131 |
| 2029 | 101 | 123 |
| 2030 | 84 | 118 |
| 2031 | 68 | 115 |
| 2032 | 53 | 114 |
| 2033 | 37 | 114 |
| 2034 | 22 | 113 |
| 2035 | 7 | 113 |
| 2036 | -9 | 113 |
| 2037 | -26 | 112 |
| 2038 | -43 | 110 |
| 2039 | -60 | 108 |
| 2040 | -78 | 106 |
| 2041 | -96 | 104 |
| 2042 | -115 | 102 |
| 2043 | -135 | 99 |
| 2044 | -154 | 96 |
| 2045 | -174 | 93 |
| 2046 | -194 | 90 |
| 2047 | -215 | 86 |
| 2048 | -235 | 83 |
| 2049 | -256 | 79 |
| 2050 | -277 | 74 |
| 2051 | -299 | 70 |
| 2052 | -320 | 65 |
| 2053 | -342 | 60 |
| 2054 | -364 | 55 |
| 2055 | -386 | 49 |
| 2056 | -409 | 42 |
| 2057 | -431 | 36 |
| 2058 | -455 | 29 |
| 2059 | -478 | 21 |
| 2060 | -502 | 13 |
| 2061 | -527 | 5 |
| 2062 | -553 | -4 |
| 2063 | -579 | -14 |
| 2064 | -605 | -23 |
| 2065 | -632 | -33 |
| 2066 | -660 | -44 |
| 2067 | -688 | -54 |
| 2068 | -716 | -65 |
| 2069 | -745 | -77 |
| 2070 | -774 | -89 |
| 2071 | -803 | -101 |
| 2072 | -834 | -113 |
| 2073 | -864 | -126 |
| 2074 | -895 | -140 |
| 2075 | -927 | -153 |
| 2076 | -960 | -167 |
| 2077 | -993 | -182 |
| 2078 | -1027 | -197 |
| 2079 | -1062 | -212 |
| 2080 | -1098 | -227 |
| 2081 | -1134 | -243 |
| 2082 | -1172 | -258 |
| 2083 | -1209 | -274 |
| 2084 | -1248 | -290 |
| 2085 | -1287 | -306 |
| 2086 | -1327 | -323 |
| 2087 | -1368 | -339 |
| 2088 | -1409 | -355 |
| 2089 | -1450 | -372 |
| 2090 | -1491 | -388 |
| 2091 | -1532 | -404 |
| 2092 | -1573 | -419 |
| 2093 | -1612 | -435 |
| 2094 | -1651 | -450 |
| 2095 | -1689 | -464 |
| 2096 | -1727 | -479 |
| 2097 | -1764 | -494 |
| 2098 | -1801 | -509 |
| 2099 | -1838 | -523 |
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